All posts with the tag Fraud Protection
The 2017 holidays rewrote the eCommerce record books, and once all the data is in we’ll surely find that, as a whole, it was yet another record-setting year for online sales.
But along with this surge in eCommerce, we saw CNP fraud popping up in new places and taking new forms. In this post, I’ll look back at 2017 in eCommerce and fraud and share projections for 2018.
1) Premium shipping options will get safer for merchants
Customers are increasingly demanding omnichannel shopping options, and more ways to receive their purchased goods. As Amazon sets the standard, shipping options are becoming a competitive edge for merchants; customers are coming to expect that they can click and collect within 30 minutes, or get same day delivery.Read More
The holidays are only a few weeks away, and fraud teams are gearing up for yet another record-breaking season; sales forecasts call for a 10% to 16.6% volume increase over last year. To help fraud teams prepare for the order surge, we took a close look at last year’s holiday shopping and fraud patterns. Here’s what we found.Read More
Riskified is pleased to share our ‘Visualizing eCommerce’ series, a new interactive medium our readers can use to review data they don’t usually have access to, mainly around eCommerce fraud. Our first installation is a world map, organized according to approval rate categories.
Geographic data is based on IP address. Hovering over each country will reveal which industry encounters the highest and lowest rates of fraud, as well as the highest and lowest cart values.Read More
Managing eCommerce fraud operations is no easy task; whether hiring, training, and managing a manual review team, monitoring approval rates, and optimizing internal rules, a fraud manager’s attention is often drawn to many places at once. With so much on their plate at any given time, it’s easy to understand why merchants are drawn to “silver bullet” solutions to manage and prevent chargebacks.
One “solution” to chargebacks often utilized by merchants is fraud prevention blacklists. When hit with a chargeback, all the transaction details are simply added to a blacklist, so that the next time an order is placed from the same email or IP address, the transaction is automatically declined. While they may seem like a great way to streamline internal operations and to prevent future fraud, blacklists are in fact a misguided way to address chargebacks.
Blacklists block not only fraudsters but also many good customers. Moreover, there are basic methods fraudsters can use to “fool” your blacklists. In this post, I will explain why you should stop relying on blacklists for fraud prevention.Read More
Ecommerce revenue for fashion merchants has been growing at an annual average of 17.3% over the last six years. In 2016 it was worth $73 billion in the US alone, second in sales value only to consumer electronics. But this rapid growth raises the stakes on fraud detection for fashion retailers.
When it comes to accurately vetting fashion orders for fraud, there’s no substitute for experience. Riskified provides fraud management services to some of the world’s leading fashion brands, including Fortune 500 companies, and is familiar with the intricacies of safe and fraudulent online shopping patterns within the industry. We analyzed our data to compile a report for fashion retailers, providing insights and best practices for detecting fraud while maximizing online revenue. In this post, I share some of the findings that appear in the full reportRead More
The online gift card market is thriving. Ecommerce sales of gift cards are increasing by 29% YOY, and by 2018, the US gift card market is expected to be worth $160 billion, driven primarily by surging digital gift card sales.
Riskified’s work with Fortune 500 retailers who sell gift cards, as well as leading gift card-only merchants and P2P secondary gift card marketplaces, has afforded us enormous insight into the CNP fraud challenges facing gift card sellers. We have drawn on this experience to compile a report sharing data about fraud patterns in online gift card sales, and outlining best practices for anyone selling gift cards online. In this post, I share a few of the key findings that appear in the full report:Read More
Last year, to mark International Women’s Day, we researched the role of gender in CNP fraud patterns, and found that males committed fraud at a significantly higher rate than females. This year we decided to revisit the topic, analyzing hundreds of thousands of eCommerce transactions from global digital retailers to reveal some interesting findings about gender in the online market.
We are excited to announce the addition of a new resource to our Buyer’s Kit: The CNP Fraud Lexicon. The Lexicon is a collection of the most pertinent concepts and expressions used within the fraud-prevention industry, all clearly explained. Our goal was to demystify many of the technical terms used by fraud analysts to describe fraudster behavior, benchmarking metrics, fraud prevention tools, and more.Read More
Balancing the needs to provide a great experience for shoppers, prevent fraud, and maximize sales revenue is one of the biggest challenges online merchants face when managing card-not-present (CNP) fraud. In this post, we explain how Riskified’s Magento fraud protection extension allows merchants to meet all of these needs – accurately detecting and preventing fraud while maintaining a streamlined shopping experience, and ensuring legitimate customers aren’t wrongly turned away due to suspected fraud.Read More
Consumers are increasingly going online for their holiday shopping, with this season expected to generate the highest eCommerce order volume ever. Holiday shoppers present an enormous revenue opportunity to eCommerce retailers. However, this season is also a source of challenges for fraud teams: much of the order spike will come from hard-to-verify international cards, and since order amounts are greater, the stakes are higher on every approve/decline decision.
Riskified’s design team created the following infographic, which presents our fraud predictions for the upcoming holiday season. We hope this gives merchants and fraud teams valuable insights as they prepare to deal efficiently with what is expected to be the busiest and most successful holiday season to date.Read More